3. Weyerhaeuser Company (NYSE:WY)
Average Price Target Upside Potential According to Analysts: 34.90%
Number of Hedge Fund Holders: 29
Weyerhaeuser Company (NYSE:WY) is a major American timberland and lumber company. The company is one of North America’s largest wood products manufacturers, producing items such as engineered lumber, oriented strand board (OSB), plywood, and medium-density fiberboard panels. It owns or manages more than 10 million acres of timberland in the US and 14 million acres in Canada. Weyerhaeuser Company (NYSE:WY) is one of the best land stocks to invest in.
For Q3 2024, the company reported net sales of $1.7 billion, down from $2.0 billion in the same quarter last year. The net income also fell significantly to $28 million compared to $239 million in Q3 2023. However, the company achieved an adjusted EBITDA of $236 million, demonstrating solid operational performance despite a tough market environment.
Weyerhaeuser Company (NYSE:WY) is strategically investing in its future growth. In November 2024, the company announced plans for a new TimberStrand facility in Arkansas with a $500 million investment. This facility is expected to enhance the company’s capacity for engineered wood products and generate over $100 million in annual adjusted EBITDA when fully operational by 2027. Additionally, in July 2024, Weyerhaeuser Company (NYSE:WY) made strategic timberland acquisitions in Alabama, purchasing 84,300 acres for $244 million.
Given its extensive timberland holdings, ongoing investments in production capacity, and strategic acquisitions, Weyerhaeuser Company (NYSE:WY) is well-positioned for future growth. These factors make it an attractive investment opportunity in the land and timber sector.
